Abstract:An order assignment and scheduling problem with parallel machines is studied. Decisions of different functions including order assignment, production scheduling and batch delivery scheduling are integrated for a simultaneous optimization in the supply chain. A mathematical model for the problem is built to minimize a weight sum of the total lead time and total cost. A hybrid algorithm which integrates a tabu search algorithm with vector array representation and a heuristic algorithm based on dynamic programming method is designed to solve the problem. Experiments adopting different approaches and algorithms are conducted on the problem; the results verify the substantial advantage of the order assignment and scheduling approach and confirm that the designed hybrid algorithm is an efficient method for solving the problem.